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Nvidia Appears To Have A GPU Inventory Problem (seekingalpha.com)
Reports out of Taiwan now suggest that Nvidia has a gaming GPU inventory problem. An anonymous reader writes: Tech news site SemiAccurate which covers the GPU space pretty closely, and has broken stories like AMD's acquisition of ATI Technologies and Nvidia's Bumpgate, just published an article on why Nvidia has delayed their new gaming GPUs. It seems the Hot Chips 30 agenda cancellation and Jensen's no new GPUs for 'a long time' comment have created enough of a stir to get journalists and industry insiders asking questions. While curiosity amongst all this confusion is natural, I was surprised to discover that people were starting to speculate Nvidia's delay was due to technical issues with their new GPUs. This had never been a concern of mine, and as it turns out, it's clearly not the case. So, what the problem? Nvidia has overestimated pent-up gaming demand and underestimated the impact of declining mining demand.
I will take some off there hands for free!.
The fucking SCOTUS just approved state sales tax for online purchases. The "Physical Nexus" standard is dead.
But if the problem is excess inventory they have to sell near a loss, well that's what you get for creating a false supply shortage to drive up prices.
GPU prices have not dropped in the last few months, despite drop in demand, and oversupply.
"Prediction: within 10 years, Windows will be a Linux distribution." Me, 7-6-2016
So lower the price. The cheapest 1080 gtx I can find right now, is still $100 higher than what I paid last summer.
L'Idiot
The author admits he has shorted nVidia's stock at the very end of the article, on the 3rd page.
PJRC: Electronic Projects, 8051 Microcontroller Tools
The mining causing prices to skyrocket also had the effect of making gamers not upgrade their GPUs, and now that the current lineup is old they will probably be waiting for the next version to come out.
You also have godlike 4K HDR10 144Hz monitors that are about to start shipping, and no current GPU can handle that even on a lot of simpler titles. So people may be waiting to upgrade to something that can handle that.
The altcoin mining craze seems to finally be dying down and prices are returning to normal, but it's too late. If gamers aren't crazy for these GPUs anymore, and miners aren't buying them either, it seems plausible that they'd have a lot of unsold inventory lying around.
My uneducated guess is that there's a price inflexion point concerning miners. Once the price drops below they'll have the opposite problem: supply shortage. Gamers will buy at current prices too, but miners are waiting for a price drop where mining makes sense, and when it does they'll fly in like locusts and the cycle begins anew.
"Everybody's naked underneath" -- The Doctor
I've used both Nvidia's and AMD's (Formerly ATI) graphics cards but have never been a huge fan of Nvidia's almost monopolistic practices so I tend to get AMD cards whenever I can. Still I would say Nvidia has a lot to worry about on it's hands. Although AMD and Intel are competitors, they do have times that they work together closely and Intel's next gen GPU are signs that they will. Unlike Nvidia, Intel is likely to be working on open standards with AMD and their recent joint CPU / GPU project looks like they'll be able to do so.
I seriously doubt it.
It isn't dead yet. There's a slowdown in sales because everyone who was mining ethereum and its derivatives is now waiting for bitmain to spin up production to meet new demand. So no new buys, as difficulty is expected to rise soon with massive influx of ASICs.
But if people have the hardware running, my understanding is that difficulty isn't yet up to the point where it wouldn't make sense to mine (expecting price to rise in the future, as much of ethereum mining was making loss at the moment of being mined).
I bet there are quite a few who would happily pay for them if they removed the license restrictions they added to the driver that prevents the use of their cards (with their driver at least) in a data centre - unless used for blockchain processing.
Instead of chasing now miniscule cryptocoins how about giving the folding @ home team a big boost with a huge folding farm. Or if you still want something crypto related then there’s the rc5-72 challenge.
Collusion between *marketeers* to inflate prices of a sole-source product is price fixing and many such as car dealerships have been charged and fined.
And if they find multiple retailers colluding to inflate prices of Nvidia GPUs it would certainly be considered price fixing. I'm not sure how that is related to what I said, since in that case there are competing retailers involved.
-- All that is necessary for the triumph of evil is that good men do nothing. -- Edmund Burke
So there's a massive shortage, cards are (or very recently were) sold out everywhere, prices are up like 30% minimum, and some vendor was sitting on 300,000 cards? Holding them for ransom at a higher than MSRP price and then sending them back to Nvidia when gamers don't play along, huh? THAT'S CALLED PRICE FIXING. Have fun in jail.
Is why the internet has problems. I don't want to register to finish reading an article. Let me read the article or don't, do not let me read half the article, and hold the other half as ransom. Fuck you. I hope "Seeking Alpha" dies and leads its "investors" into financial ruin. Fuck Nvidia, too. They created a fake low supply issue to keep prices high and compete with AMD. You can seek an Alpha and be lied to if you want, but thinking isn't that hard.